Common use of Terrorism Insurance Clause in Contracts

Terrorism Insurance. With respect to each Mortgage Loan that has a Stated Principal Balance as of the Cut-off Date that is greater than or equal to $20,000,000, the related all risk insurance policy and business interruption policy do not specifically exclude acts of terrorism from coverage. With respect to each other Mortgage Loan, the related all risk insurance policy and business interruption policy did not as of the date of origination of the Mortgage Loan, and, to the Mortgage Loan Seller's knowledge, does not as of the date hereof, specifically exclude acts of terrorism from coverage. With respect to each of the Mortgage Loans, the related Mortgage Loan Documents do not expressly waive or prohibit the mortgagee from requiring coverage for acts of terrorism or damages related thereto, except to the extent that any right to require such coverage may be limited by commercially reasonable availability, or as otherwise indicated on Schedule C to this Agreement. SCHEDULE C EXCEPTIONS TO MORTGAGE LOAN REPRESENTATIONS AND WARRANTIES Sch. C-1 NATIONWIDE LOANS IN PWR13 EXCEPTIONS TO REPS & WARRANTIES CROSSWOODS AT CENTRAL PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated August 24, 2005. 525 BROAD HOLLOW Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. PLAZA AT LAKE PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated July 5, 2005. 800 CORPORATE CENTER Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. 9668 MILIKEN CENTER

Terrorism Insurance. With respect to each Mortgage Loan that has a Stated Principal Balance as of the Cut-off Date that is greater than or equal to $20,000,000, the related all risk insurance policy and business interruption policy do not specifically exclude acts of terrorism from coverage. With respect to each other Mortgage Loan, the related all risk insurance policy and business interruption policy did not as of the date of origination of the Mortgage Loan, and, to the Mortgage Loan Seller's knowledge, does not as of the date hereof, specifically exclude acts of terrorism from coverage. With respect to each of the Mortgage Loans, the related Mortgage Loan Documents do not expressly waive or prohibit the mortgagee from requiring coverage for acts of terrorism or damages related thereto, except to the extent that any right to require such coverage may be limited by commercially reasonable availability, or as otherwise indicated on Schedule C to this Agreement. SCHEDULE C EXCEPTIONS TO MORTGAGE LOAN REPRESENTATIONS AND WARRANTIES SchNote: The Mortgage Loans known as Severna Park Portfolio, Baltimore Commons Portfolio and Gambrills Business Center and Brightview II (Loan Nos. C-1 NATIONWIDE LOANS IN PWR13 75, 100 and 161a and 161b), have an Indemnity Deed of Trust structure. The related borrower under each such Mortgage Loan executed and delivered the related note to the lender and is obligated to make payments thereunder. The related property owner for each such Mortgage Loan executed an Indemnity Deed of Trust and Security Agreement in favor of the lender, guaranteeing all amounts payable by the borrower under the related note. With respect to certain of the representations and warranties, with respect to these Mortgage Loans, statements regarding the borrower relate to the property owner of the related Mortgaged Property. EXCEPTIONS TO REPS & WARRANTIES CROSSWOODS AT CENTRAL PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated August 24, 2005. 525 BROAD HOLLOW Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. PLAZA AT LAKE PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated July 5, 2005. 800 CORPORATE CENTER Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. 9668 MILIKEN CENTERREPRESENTATION 2 (OWNERSHIP OF MORTGAGE LOANS) ------------------------------------------------------------------------------------------------- MORTGAGE LOAN EXCEPTION -------------------------------------------------------------------------------------------------

Terrorism Insurance. With respect to each Mortgage Loan that has a Stated Principal Balance as of the Cut-off Date that is greater than or equal to $20,000,000, the related all risk insurance policy and business interruption policy do not specifically exclude acts of terrorism from coverage. With respect to each other Mortgage Loan, the related all risk insurance policy and business interruption policy did not as of the date of origination of the Mortgage Loan, and, to the Mortgage Loan Seller's knowledge, does not as of the date hereof, specifically exclude acts of terrorism from coverage. With respect to each of the Mortgage Loans, the related Mortgage Loan Documents do not expressly waive or prohibit the mortgagee from requiring coverage for acts of terrorism or damages related thereto, except to the extent that any right to require such coverage may be limited by commercially reasonable availability, or as otherwise indicated on Schedule C to this Agreement. SCHEDULE C EXCEPTIONS TO MORTGAGE LOAN REPRESENTATIONS AND WARRANTIES SchINDIVIDUAL MORTGAGE LOANS PRINCIPAL COMMERCIAL FUNDING II - PWR 15 REP. C-1 NATIONWIDE LOANS IN PWR13 EXCEPTIONS TO REPS & WARRANTIES CROSSWOODS AT CENTRAL PARK Rep#12NO. Environmental Conditions The Phase I Environmental Report 15 - INSURANCE LOAN NO. 755331 - 173 MARKET STREET EXPLANATIOX - Xxxxxxxx xx xxx xxxx xxxxxxxxx and xxx xxxxx xxx xxx xxxxxx xxxxnt, Walgreen's is dated more than 12 months from allowed to self-insure the scheduled Closing Date of September 2006property if their net worth is at least $200,000,000, there is no tenant default, and the lease remains in full force and effect. The Phase I Environmental Report Walgreen's is dated August 24, 2005currently self-insuring for the required coverages. 525 BROAD HOLLOW Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest Walgreen's does have the right to abate rent during a casualty restoration starting in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closingyear 2029; xxxxver, the recession loan matures in 2017 so loss of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy rents was filed and lender took the properties in foreclosure. PLAZA AT LAKE PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated July 5, 2005. 800 CORPORATE CENTER Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the not required at closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. 9668 MILIKEN CENTER.

Terrorism Insurance. With respect to each Mortgage Loan that has a Stated Principal Balance as of the Cut-off Date that is greater than or equal to $20,000,000, the related all risk insurance policy and business interruption policy do not specifically exclude acts of terrorism from coverage. With respect to each other Mortgage Loan, the related all risk insurance policy and business interruption policy did not as of the date of origination of the Mortgage Loan, and, to the Mortgage Loan Seller's knowledge, does not as of the date hereof, specifically exclude acts of terrorism from coverage. With respect to each of the Mortgage Loans, the related Mortgage Loan Documents do not expressly waive or prohibit the mortgagee from requiring coverage for acts of terrorism or damages related thereto, except to the extent that any right to require such coverage may be limited by commercially reasonable availability, or as otherwise indicated on Schedule C to this Agreement. SCHEDULE C EXCEPTIONS TO MORTGAGE LOAN REPRESENTATIONS AND WARRANTIES SchINDIVIDUAL MORTGAGE LOANS (Principal Commercial Funding, LLC - PWR11) -------------------------------------------------------------------------------- REP. C-1 NATIONWIDE LOANS IN PWR13 EXCEPTIONS TO REPS & WARRANTIES CROSSWOODS AT CENTRAL PARK Rep#12NO. Environmental Conditions 00- XXXXXXXXXXXXX XXXXXXXXXX -------------------------------------------------------------------------------- XXXX XX. - 000000 (192 WESTPORT AVENUE) EXPLANATION - The Mortgaged Property was previously the site of a building used as a tire shop from 1949 until the 1980s. It was then converted into an auto dealership. The building was demolished in 2004 for redevelopment with the current improvements. After the Phase I investigation, the environmental consultant indicated that the Mortgaged Property does not appear to qualify as an Establishment as defined under the Connecticut Transfer Act. Therefore, there is no regulatory requirement to conduct a Phase II subsurface investigation at the site. If the law changes or further investigation is required, such inquiry will be made. LOAN NO. - 754770 (3390 RAND ROAD) EXPLANATION -- Two 10,000-gallon underground storage tanks ("USTs") were formerly located on the Mortgaged Property. A leak occurred in one of the USTs, and it was replaced. Both tanks were removed in 1992. There is minor groundwater contamination. Approximately 180 tons of contaminated soil were removed during subsequent over-excavation activities and disposed of off-site. Three groundwater monitoring xxxxx have been installed on the Mortgaged Property, along with two others off-site. Contaminant concentrations reported in groundwater samples collected at the Mortgaged Property have continued to naturally attenuate over time. The environmental consultant is applying to the New Jersey Department of Environmental Report Protection for a Classification Exception Area with natural attenuation. It is dated more than 12 expected take the state several months to respond, but the environmental consultant believes the state will accept the application. Until the levels of contamination decrease below the New Jersey standards, the matter cannot be closed. -------------------------------------------------------------------------------- REP. NO. 14 - INSURANCE -------------------------------------------------------------------------------- SELF-INSURANCE DISCLOSURE LOAN NO. 754777 (2929 WEST VALENCIA ROAD) EXPLANATION - The Property is 100% leased to Walgreen Arizona Drug Co. with parent guaranty from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated August 24, 2005. 525 BROAD HOLLOW Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. PLAZA AT LAKE PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated July 5, 2005. 800 CORPORATE CENTER Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. 9668 MILIKEN CENTERWalgreen Co.

Terrorism Insurance. With respect to each Mortgage Loan that has a Stated Principal Balance as of the Cut-off Date that is greater than or equal to $20,000,000, the related all risk insurance policy and business interruption policy do not specifically exclude acts of terrorism from coverage. With respect to each other Mortgage Loan, the related all risk insurance policy and business interruption policy did not as of the date of origination of the Mortgage Loan, and, to the Mortgage Loan Seller's knowledge, does not as of the date hereof, specifically exclude acts of terrorism from coverage. With respect to each of the Mortgage Loans, the related Mortgage Loan Documents documents do not expressly waive or prohibit the mortgagee from requiring coverage for acts of terrorism or damages related thereto, except to the extent that any right to require such coverage may be limited by commercially reasonable availability, or as otherwise indicated on Schedule C to this Agreement. SCHEDULE C C-2 OWNERSHIP OF MORTGAGE LOANS EXCEPTIONS TO --------------------------------------- Loan Xx. 0000000 (Xxxxxxxx Xxxxxx Xxxx). The Ballston Common Mall Loan is subject to the terms and conditions of the Co-Lender Agreement by and between Seller, as Initial Note A Holder, and Prudential Mortgage Capital Funding, LLC, as the Note B Holder. Loan No. 6104801 (Renaissance Pere Marquette Hotel). The Renaissance Pere Marquette Hotel Loan is subject to the terms and conditions of the Co-Lender Agreement by and between Seller, as Initial Note A Holder, and Prudential Mortgage Capital Funding, LLC, as the Note B Holder. SCHEDULE C-12 ENVIRONMENTAL EXCEPTIONS ------------------------ Loan No. 6103988 (Xxxxxxx Parkway). In connection with the Xxxxxxx Parkway Loan, the related borrower provided a secured creditor impaired property policy in the amount of $5,000,000, which amount represents 116% of the Stated Principal Balance of the Mortgage Loan as of the Cut-Off Date, and the policy only extends for two years beyond the maturity date of the Xxxxxxx Parkway Loan. SCHEDULE C-14 INSURANCE EXCEPTIONS -------------------- Loan No. 6104797 (Price Chopper Plaza). Two tenants at the related Mortgaged Property, Price Chopper and TrustCo Bank, provide insurance for the portion of the Mortgaged Property occupied by them, however, their insurance policies only name the related borrower, not the lender, as an additional insured/loss payee. Loan Xx. 0000000 (Xxxxx Xxxxx Xxxx). One of the tenants at the related Mortgaged Property, Thrifty Rite-Aid, provides insurance for the portion of the Mortgaged Property occupied by it, however, the insurance policy only names the related borrower, not the lender, as an additional insured/loss payee. In addition, the borrower insured the improvements at the Mortgaged Property in an amount of $7,600,000, which is less than the outstanding principal balance of the Mortgage Loan amount and less than 100% of the replacement cost of the improvements located on the related Mortgaged Property. Loan Xx. 0000000 (Xxxxxxx Xxxxxx). One of the tenants at the related Mortgaged Property, Old Country Buffet, which has the right to self-insure plate glass only, does not have a net worth of at least $50,000,000 nor does it have an investment grade credit rating. In addition, three of the tenants at the related Mortgaged Property, Circuit City, Old Country Buffet, and Ruby Tuesday, provide insurance pursuant to policies which only name the related borrower, not the lender, as an additional insured/loss payee. Loan Xx. 0000000 (Xxxxxxxx Xxxxxx Xxxx). One of the tenants at the related Mortgaged Property, Regal Cinemas, provides insurance for the portion of the Mortgaged Property occupied by it, however, the insurance policy only names the related borrower, not the lender, as an additional insured/loss payee. In addition to the amount of insurance provided by Regal Cinemas, the related borrower is insuring that portion of the Mortgaged Property in an adequate amount on an excess and contingent basis. SCHEDULE C-23 OTHER MORTGAGE LIENS EXCEPTIONS ------------------------------- Loan Xx. 0000000 (Xxxxxxxx Xxxxxx Xxxx). The related Mortgaged Property also secures a related promissory note in the original principal amount of $4,000,000, which note is currently held by Prudential Mortgage Capital Funding, LLC. Loan No. 6104801 (Renaissance Pere Marquette Hotel). The related Mortgaged Property also secures a related promissory note in the original principal amount of $2,000,000, which note is currently held by Prudential Mortgage Capital Funding, LLC. SCHEDULE C-28 RELEASES OF MORTGAGED PROPERTIES EXCEPTIONS ------------------------------------------- Loan No. 6104801 (Renaissance Pere Marquette Hotel). The related promissory note grants the related borrower certain rights to obtain a release of a portion of the related Mortgaged Property consisting of the parking garage and the service driveway, upon the satisfaction of specified conditions including grants of satisfactory easement rights. SCHEDULE C-34 SINGLE PURPOSE ENTITY EXCEPTIONS -------------------------------- Loan No. 6104671 (Pal-Med Medical Office Center). The borrower is a general partnership and is not a Single Purpose Entity. SCHEDULE C-35 WHOLE LOAN EXCEPTIONS --------------------- Loan Xx. 0000000 (Xxxxxxxx Xxxxxx Xxxx). The Ballston Common Mall Loan is subject to the terms and conditions of the Co-Lender Agreement by and between Seller, as Initial Note A Holder, and Prudential Mortgage Capital Funding, LLC, as the Note B Holder. Loan No. 6104801 (Renaissance Pere Marquette Hotel). The Renaissance Pere Marquette Hotel Loan is subject to the terms and conditions of the Co-Lender Agreement by and between Seller, as Initial Note A Holder, and Prudential Mortgage Capital Funding, LLC, as the Note B Holder. SCHEDULE C-40 RECOURSE EXCEPTIONS ------------------- Loan Xx. 0000000 (Xxxxxxxx Xxxxxx Xxxx). A natural person is not liable for any of the recourse obligations. In addition, only the related borrower, which is not a natural person, provided an environmental indemnification. In lieu of an environmental indemnification from the guarantor, the related borrower provided a pollution legal liability policy in the amount of $18,000,000. Loan No. 6104671 (Pal-Med Medical Office Center). In connection with the Pal-Med Medical Office Center Loan, only the related borrower, which is not a natural person, provided an environmental indemnification. SCHEDULE C-47 GRACE PERIOD EXCEPTIONS ----------------------- Loan No. 6104764 (Xxxxxx Pointe). The related Mortgage Loan documents provide for a 15 day grace period from the due date. SCHEDULE C-49 TAX PARCEL EXCEPTIONS --------------------- Loan No. 6104702 (Xxxxxx Xxxxx Building). The Mortgaged Property and the adjacent parking lot lie within the same tax parcel. A petition for segregation has been filed, however, no deposit of taxes was required for this loan because the Mortgaged Property is subject to property tax abatements as a historical site. The related Mortgage Loan documents do require borrower to provide evidence of payment or to establish a tax reserve if the Mortgaged Property loses its tax abatement status before the segregation is completed. SCHEDULE C-51 TERRORISM INSURANCE EXCEPTIONS ------------------------------ Loan Xx. 0000000 (Xxxxxxxx Xxxxxx Xxxx). Pursuant to the terms of the related Mortgage Loan documents, the borrower is required to maintain terrorism insurance in amounts, coverages and form (including, but not limited to, any deductible) acceptable to Lender, to the extent commercially available at commercially reasonable premiums. The related Mortgage Loan documents state that such insurance shall be deemed to be commercially available at commercially reasonable premiums if the premium is less than or equal to $150,000.00. XXXXXXX X-0 FORM OF CERTIFICATE OF THE SECRETARY OR AN ASSISTANT SECRETARY -------------------------------------------------------------- OF THE MORTGAGE LOAN REPRESENTATIONS AND WARRANTIES Sch. C-1 NATIONWIDE LOANS IN PWR13 EXCEPTIONS TO REPS & WARRANTIES CROSSWOODS AT CENTRAL PARK Rep#12. Environmental Conditions The Phase I Environmental Report is SELLER --------------------------- XXXXXXX X-0 FORM OF CERTIFICATE OF THE MORTGAGE LOAN SELLER ----------------------------------------------- CERTIFICATE OF MORTGAGE LOAN SELLER In connection with the execution and delivery by Prudential Mortgage Capital Funding, LLC ("PMCF") of, and the consummation of the various transactions contemplated by, that certain Mortgage Loan Purchase Agreement dated more than 12 months from as of March 7, 2003 (the scheduled Closing Date "Mortgage Loan Purchase Agreement") among PMCF as seller and Prudential Securities Secured Financing Corporation ("PSSFC") as purchaser, the undersigned hereby certifies that (i) except as previously disclosed to the Purchaser in writing, the representations and warranties of September 2006. The Phase I Environmental Report is dated August 24PMCF in or made pursuant to Section 4(a) of the Mortgage Loan Purchase Agreement are true and correct in all material respects at and as of the date hereof with the same effect as if made on the date hereof, 2005. 525 BROAD HOLLOW Rep# 16. Borrower Bankruptcy Allen V. Rose(ii) PMCF has, who is xxx xxxxxxxx member in all material respects, complied with all the agreements and has approximately 93% ownership interest satisfied all the conditions on its part required under the Mortgage Loan Purchase Agreement to be performed or satisfied at or prior to the date hereof, and (iii) since the date of the Mortgage Loan Purchase Agreement, there will not have been, immediately prior to the transfer of the Mortgage Loans pursuant to the Mortgage Loan Purchase Agreement, any material adverse change in the Borrowing Entity, filed for bankruptcy financial condition of PMCF. Capitalized terms used but not defined herein shall have the respective meanings assigned to them in the early 1990's concerning a loan that was secured by 20 hotel propertiesMortgage Loan Purchase Agreement. The loan was closed in November 1989Certified this 20th day of March, 2003. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closingPRUDENTIAL MORTGAGE CAPITAL FUND, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. PLAZA AT LAKE PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated July 5, 2005. 800 CORPORATE CENTER Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. 9668 MILIKEN CENTERLLC By: --------------------------------------- Name: Title: EXHIBIT D-3A FORM OF OPINION PURSUANT TO SECTION 7(VI) ----------------------------------------- EXHIBIT D-3B FORM OF OPINION PURSUANT TO SECTION 7(VII) ------------------------------------------ EXHIBIT D-3C FORM OF OPINION PURSUANT TO SECTION 7(VIII) -------------------------------------------

Terrorism Insurance. With respect to each Mortgage Loan that has a Stated Principal Balance as of the Cut-off Date that is greater than or equal to $20,000,000, the related all risk insurance policy and business interruption policy do not specifically exclude acts of terrorism from coverage. With respect to each other Mortgage Loan, the related all risk insurance policy and business interruption policy did not as of the date of origination of the Mortgage Loan, and, to the Mortgage Loan Seller's knowledge, does not as of the date hereof, specifically exclude acts of terrorism from coverage. With respect to each of the Mortgage Loans, the related Mortgage Loan Documents do not expressly waive or prohibit the mortgagee from requiring coverage for acts of terrorism or damages related thereto, except to the extent that any right to require such coverage may be limited by commercially reasonable availability, or as otherwise indicated on Schedule C to this Agreement. 18 SCHEDULE C EXCEPTIONS TO MORTGAGE LOAN REPRESENTATIONS AND WARRANTIES Sch. C-1 NATIONWIDE INDIVIDUAL MORTGAGE LOANS IN PWR13 EXCEPTIONS TO REPS & WARRANTIES CROSSWOODS AT CENTRAL (PRINCIPAL COMMERCIAL FUNDING, LLC - PWR12) REP. XX. 0 - XXXX: XXXXX XXXXXXXXXX XXXX XX. 000000: GRANDVIEW HILLS SHOPPING CENTER EXPLANATION - This Mortgage Loan has a $5,000,000 first lien that is cross-defaulted and cross-collateralized with a $22,000,0000 second lien. Since the same lender owns both loans, the $22,000,000 second is for all practical purposes a first lien. REP. NO. 12 - ENVIRONMENTAL CONDITIONS LOAN NO. 754737- XXXXXX CENTER EXPLANATION- This Mortgage Loan has tetrachloroethene (PERC) concentration slightly above TCEQ Tier 1 Residential and Commercial/Industrial Protective Concentration Limits. The Mortgaged Property has been accepted into the State of Texas Dry Cleaning Remediation Program. And, PERC is no longer being used on the Mortgaged Property. REP. XX. 00 - XXXXXXXXX XXXX XX. 000000: 000 XXXXX XXXXXX XXXXXXXXX; 754807: 000 XXXX 00XX XXXXXX; 754808: 0000 XXXXXX XXXXXX; 754809: 0000 XXXXXXX X XXX 000000: 3870 HIGHWAY D EXPLANATION - All of these Mortgage Loans allow the tenant, HyVee, Inc., to self-insure. Hy-Vee, Inc. has a net worth in excess of $50,000,000. REP. XX. 00 - XXXXX XXX XXXXXXXXXX XXXX XX. 000000: 0000 X.X. XXXXX 0 EXPLANATION - The Mortgage Loan is 4 parking spaces short of current parking requirements; however the city considers the property to be conforming. There is also enough space on the property to accommodate the four additional parking spaces. There is law and ordinance coverage in place. And last, the loan becomes fully recourse to the borrower in the event that the building is destroyed and cannot be rebuilt REP. NO. 28 - RELEASES OF MORTGAGED PROPERTIES LOAN NO. 754750: ALBANY INDUSTRIAL PARK Rep#12AND 754751: 0000 XXXXXXX XXXXXX INDUSTRIAL BUILDING EXPLANATION - These loans are cross-defaulted and cross collateralized. Environmental Conditions The Phase I Environmental Report These loans provide that one of the two properties may be released if the loan amount allocated to that property is dated more than 12 months paid in full. While the documents do not require a prepayment premium, this right is not available until the following conditions exist: (i) two years has elapsed from the scheduled Closing Date date of September the securitization of these loans, (ii) the annual net cash flow on the remaining property is at least 1.45 times the annual debt service coverage; (iii) the loan to value of the remaining property is at least 60% and (iv) the remaining property is at least 90% occupied with tenants having at least 1 year remaining in their term. REP. NO. 49 - TAX PARCELS LOAN NO. 7547806: 000 XXXXX XXXXXX XXXXXXXXX; 754807: 000 XXXX 00XX XXXXXX XXXXXXXXXXX - This Mortgage Loan is not separately assessed. The Mortgage Borrower has applied for separate assessment. There is no escrow in an amount sufficient to pay taxes on all of the properties not separately assessed; however the Mortgage Loan Documents do provide that the Borrower will have a recourse obligation for those taxes should they not be paid. EXHIBIT D-1 FORM OF CERTIFICATE OF THE SECRETARY OR AN ASSISTANT SECRETARY OF THE MORTGAGE LOAN SELLER Executed Certificate attached at Tab 42. XXXXXXX X-0 FORM OF CERTIFICATE OF THE MORTGAGE LOAN SELLER CERTIFICATE OF MORTGAGE LOAN SELLER In connection with the execution and delivery by Principal Commercial Funding, LLC ("PCF") of, and the consummation of the various transactions contemplated by, that certain Mortgage Loan Purchase and Sale Agreement dated as of June 8, 2006 (the "Mortgage Loan Purchase Agreement") among PCF as seller and Bear Xxxxxxx Commercial Mortgage Securities Inc. as purchaser (the "Purchaser"), the undersigned hereby certifies that (i) except as previously disclosed to the Purchaser in writing, the representations and warranties of PCF in or made pursuant to Section 4(a) of the Mortgage Loan Purchase Agreement are true and correct in all material respects at and as of the date hereof with the same effect as if made on the date hereof, (ii) PCF has, in all material respects, complied with all the agreements and satisfied all the conditions on its part required under the Mortgage Loan Purchase Agreement to be performed or satisfied at or prior to the date hereof, and (iii) since the date of the Mortgage Loan Purchase Agreement, there will not have been, immediately prior to the transfer of the Mortgage Loans pursuant to the Mortgage Loan Purchase Agreement, any material adverse change in the financial condition of PCF. Capitalized terms used but not defined herein shall have the respective meanings assigned to them in the Mortgage Loan Purchase Agreement. Certified this 21st day of June, 2006. The Phase I Environmental Report is dated August 24PRINCIPAL COMMERCIAL FUNDING, 2005LLC By: ----------------------------------- Name: Title: By: ----------------------------------- Name: Title: EXHIBIT D-3A FORM OF OPINION PURSUANT TO SECTION 7(VI) [Reserved] EXHIBIT D-3B FORM OF OPINION PURSUANT TO SECTION 7(VII) Executed opinion attached at Tab 97. 525 BROAD HOLLOW Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member EXHIBIT D-3C FORM OF OPINION PURSUANT TO SECTION 7(VIII) Executed opinion attached at Tab 94 and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. PLAZA AT LAKE PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated July 5, 2005. 800 CORPORATE CENTER Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. 9668 MILIKEN CENTERTab 95.

Terrorism Insurance. With respect to each Mortgage Loan that has a Stated Principal Balance as of the Cut-off Date that is greater than or equal to $20,000,000, the related all risk insurance policy and business interruption policy do not specifically exclude acts of terrorism from coverage. With respect to each other To the Mortgage LoanLoan Seller's knowledge, as of the date of origination of the Mortgage Loan the related all risk insurance policy and business interruption policy did not not, and as of the date of origination of hereof the Mortgage Loan, and, to the Mortgage Loan Seller's knowledge, related all risk insurance policy and business interruption policy does not as of the date hereofnot, specifically exclude acts of terrorism from coverage. The knowledge of the Mortgage Loan Seller referred to in the preceding sentence is based on the procedures described on Schedule C hereto. With respect to each of the Mortgage Loans, the related Mortgage Loan Documents do not expressly waive or prohibit the mortgagee from requiring coverage for acts of terrorism or damages related thereto, except to the extent that any right to require such coverage may be limited by commercially reasonable availability, or as otherwise indicated on Schedule C to this Agreement. C. SCHEDULE C EXCEPTIONS TO MORTGAGE LOAN REPRESENTATIONS AND WARRANTIES Sch. C-1 NATIONWIDE LOANS IN PWR13 EXCEPTIONS TO REPS & WARRANTIES CROSSWOODS AT CENTRAL PARK Rep#12EXHIBIT D-1 FORM OF CERTIFICATE OF THE SECRETARY OR AN ASSISTANT SECRETARY OF THE MORTGAGE LOAN SELLER Executed Certificate attached at Tab 39. Environmental Conditions The Phase I Environmental Report is XXXXXXX X-0 FORM OF CERTIFICATE OF THE MORTGAGE LOAN SELLER CERTIFICATE OF MORTGAGE LOAN SELLER In connection with the execution and delivery by Xxxxx Fargo Bank, National Association ("Xxxxx Fargo Bank") of, and the consummation of the various transactions contemplated by, that certain Mortgage Loan Purchase and Sale Agreement dated more than 12 months from as of March 8, 2006 (the scheduled Closing Date "Mortgage Loan Purchase Agreement") among Xxxxx Fargo Bank as seller and Bear Xxxxxxx Commercial Mortgage Securities II Inc. as purchaser (the "Purchaser"), the undersigned hereby certifies that (i) except as previously disclosed to the Purchaser in writing, the representations and warranties of September Xxxxx Fargo Bank in or made pursuant to Section 4(a) of the Mortgage Loan Purchase Agreement are true and correct in all material respects at and as of the date hereof with the same effect as if made on the date hereof, (ii) Xxxxx Fargo Bank has, in all material respects, complied with all the agreements and satisfied all the conditions on its part required under the Mortgage Loan Purchase Agreement to be performed or satisfied at or prior to the date hereof, and (iii) since the date of the Mortgage Loan Purchase Agreement, there will not have been, immediately prior to the transfer of the Mortgage Loans pursuant to the Mortgage Loan Purchase Agreement, any material adverse change in the financial condition of Xxxxx Fargo Bank. Capitalized terms used but not defined herein shall have the respective meanings assigned to them in the Mortgage Loan Purchase Agreement. Certified this 21st day of March, 2006. The Phase I Environmental Report is dated August 24XXXXX FARGO BANK, 2005NATIONAL ASSOCIATION By: ___________________________ Name: Title: EXHIBIT D-3A FORM OF OPINION PURSUANT TO SECTION 7(VI) Executed opinion attached at Tab 92. 525 BROAD HOLLOW Rep# 16EXHIBIT D-3B FORM OF OPINION PURSUANT TO SECTION 7(VII) Executed opinion attached at Tab 91. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. PLAZA AT LAKE PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated July 5, 2005. 800 CORPORATE CENTER Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. 9668 MILIKEN CENTEREXHIBIT D-3C FORM OF OPINION PURSUANT TO SECTION 7(VIII) Executed opinion attached at Tab 90.

Terrorism Insurance. With respect to each Mortgage Loan that has a Stated Principal Balance as of the Cut-off Date that is greater than or equal to $20,000,000, the related all risk insurance policy and business interruption policy do not specifically exclude acts of terrorism from coverage. With respect to each other To the Mortgage LoanLoan Seller's knowledge, as of the date of origination of the Mortgage Loan the related all risk insurance policy and business interruption policy did not not, and as of the date of origination of hereof the Mortgage Loan, and, to the Mortgage Loan Seller's knowledge, related all risk insurance policy and business interruption policy does not as of the date hereofnot, specifically exclude acts of terrorism from coverage. The knowledge of the Mortgage Loan Seller referred to in the preceding sentence is based on the procedures described on Schedule C hereto. With respect to each of the Mortgage Loans, the related Mortgage Loan Documents documents do not expressly waive or prohibit the mortgagee from requiring coverage for acts of terrorism or damages related thereto, except to the extent that any right to require such coverage may be limited by commercially reasonable availability, or as otherwise indicated on Schedule C C. SCHEDULE C-12 ENVIRONMENTAL EXCEPTIONS ------------------------ Loan No. 510901115 (1290 Avenue of the Americas) has an Environmental Report which is dated earlier than twelve (12) months prior to this Agreementthe Closing Date. The report is dated March 4, 2002. The following are Property Condition Report Loans that are covered under the group Secured Creditor Impaired Property Insurance Policy: Loan No. 310900972 (Southgate Apartments) Loan Xx. 000000000 (Xxxx Xxxxx MHC) Loan No. 310901013 (Minikahda Mini Storage II) Loan No. 310900940 (Walgreens, Memphis) Loan No. 310900909 (Academy Sports) Loan No. 310900986 (Xxxxxx Road Self Storage) Loan No. 310900980 (Terminal Building) Loan No. 310900930 (Walgreens, Murfreesboro) Loan No. 310900984 (Roo Commons) Loan Xx. 000000000 (Xxxxxxx Xxxxx Xxxxxx) Loan No. 890901017 (Tempo Plaza) Loan No. 310900982 (Xxxxxx Street) Loan No. 310900971 (Weed Street Retail) is covered under a Secured Creditor Impaired Property Insurance Policy. The policy was obtained in lieu of a Phase II. SCHEDULE C C-14 INSURANCE EXCEPTIONS TO -------------------- Loan Nos. 310900973 (Walgreens Xxxxxxx), 310900940 (Walgreens Memphis) and 310900930 (Walgreens Murfreesboro) allow the investment grade single tenant, Walgreens, to self insure each respective property. At the time of origination, the properties were self insured by Walgreens. SCHEDULE C-23 OTHER MORTGAGE LOAN REPRESENTATIONS AND WARRANTIES SchLIENS EXCEPTIONS ------------------------------- Loan No. C-1 NATIONWIDE LOANS IN PWR13 EXCEPTIONS TO REPS & WARRANTIES CROSSWOODS AT CENTRAL PARK Rep#12890901017 (Tempo Plaza) expressly permits, in connection with an assumption, secondary financing provided by the existing borrower in an amount not to exceed $300,000. Environmental Conditions Such subordinate financing, which will be secured by the subject mortgaged property, must satisfy certain debt service coverage ratio and loan-to-value ratio tests for the combined loans, as set forth in the related mortgage loan documents. Loan No. 310901053 (The Phase I Environmental Report Landings) has allowed certain of the sponsor's ownership interests in the related borrower to be pledged to secure mezzanine debt in the amount of approximately $6,330,000. The mezzanine debt may be repaid in the event of a successful syndication sale of tenant in common interests in the related mortgaged property in accordance with the requirements of the related mortgage loan documents. Alternatively, the mezzanine debt may be exchanged for an undivided interest in the related mortgaged property in accordance with the requirements of the related mortgage loan documents in the event the proceeds of the syndication are insufficient to repay the mezzanine debt, which could result in a change of control in the related borrower and management of the related mortgaged property. Under the mezzanine loan documents and the related intercreditor agreement, the mezzanine lender possesses the right to cure a default under the mortgage loan documents and, in addition, if there is dated a default under the mortgage loan documents the mezzanine lender may purchase the subject pooled mortgage loan at 100% of its outstanding principal balance plus accrued interest. In addition, the related mortgage loan documents may not be amended if the amendment increases the interest rate or principal amount of the mortgage loan, modifies the maturity date or otherwise amends specified terms. If the mezzanine debt defaults, the mezzanine lender may foreclose on the pledged equity interests in the related borrower, which could result in a change of control with respect to the borrower and a change in management of the related mortgaged property. Transfer of the mezzanine lender's interest in the mezzanine debt is governed by the terms of the intercreditor agreement, which prohibits transfers of more than 12 months 49% of the mezzanine lender's interest in the mezzanine loan unless that transfer is to a qualified transferee under the intercreditor agreement or written confirmation is obtained from each of Fitch and S&P that such transfer will not result in the scheduled Closing Date qualification, downgrade or withdrawal of September 2006any of the ratings then assigned by that rating agency to the series 2003-PWR1 certificates. The Phase I Environmental Report SCHEDULE C-27 CROSS COLLATERALIZATION EXCEPTIONS ---------------------------------- Loan No. 510901115 (1290 Avenue of the Americas) is dated August 24secured by that mortgaged property on a pari passu basis with, 2005and pursuant to the same mortgage as, four (4) other mortgage loans that are not included in the trust fund and, as of the cut-off date, are expected to have unpaid principal balances of $70,000,000, $70,000,000, $130,000,000 and $35,000,000, respectively. 525 BROAD HOLLOW Rep# 16Those other four (4) mortgage loans have the same interest rate, maturity date and amortization terms. Borrower Bankruptcy Allen V. RoseIn addition, who the above-referenced mortgage on the 1290 Avenue of the Americas mortgaged property also secures a subordinated, B-note mortgage loan which: has a cut-off date principal balance of $55,000,000; is xxx xxxxxxxx member not an asset of the trust; and has approximately 93% is currently owned by a separate trust, the beneficial ownership interest in which is in turn currently owned by a third party unaffiliated with the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a mortgage loan that was secured by 20 hotel propertiessellers. The loan was closed in November 1989SCHEDULE C-51 TERRORISM INSURANCE EXCEPTIONS ------------------------------ Loan No. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession 510901115 (1290 Avenue of the early 1990's set in Americas) requires ongoing insurance coverage for losses associated with acts of terrorism equal to the maximum amount of coverage obtainable for a maximum annual premium of $3,500,000 only. Loan Nos. 310900973 (Walgreens Xxxxxxx), 310900940 (Walgreens Memphis) and 310900930 (Walgreens Murfreesboro) allow the business conditions made it impossible for investment grade single tenant, Walgreens, to self insure the properties to generate sufficient cash flow to cover debt serviceproperty. At the lender's requesttime of origination, a prepackaged bankruptcy was filed and lender took the properties in foreclosurewere self insured by Walgreens. PLAZA AT LAKE PARK Rep#12No additional coverage for terrorism was required. Environmental Conditions The Phase I Environmental Report For Loan No. 310900909 (Academy Sports), terrorism insurance is dated more than 12 months excluded from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated July 5, 2005. 800 CORPORATE CENTER Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990borrower's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closingcurrent "all-risk" insurance policy; however, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At mortgage loan documents do not restrict the lender's requestright to require such coverage in the future. EXHIBIT D-1 FORM OF CERTIFICATE OF THE SECRETARY OR AN ASSISTANT SECRETARY -------------------------------------------------------------- OF THE MORTGAGE LOAN SELLER --------------------------- XXXXXXX X-0 FORM OF CERTIFICATE OF THE MORTGAGE LOAN SELLER ----------------------------------------------- CERTIFICATE OF MORTGAGE LOAN SELLER In connection with the execution and delivery by Xxxxx Fargo Bank, a prepackaged bankruptcy was filed National Association ("WFB") of, and lender took the properties consummation of the various transactions contemplated by, that certain Mortgage Loan Purchase Agreement dated as of March 7, 2003 (the "Mortgage Loan Purchase Agreement") among WFB as seller and Prudential Securities Secured Financing Corporation ("PSSFC") as purchaser, the undersigned hereby certifies that (i) except as previously disclosed to the Purchaser in foreclosurewriting, the representations and warranties of WFB in or made pursuant to Section 4(a) of the Mortgage Loan Purchase Agreement are true and correct in all material respects at and as of the date hereof with the same effect as if made on the date hereof, (ii) WFB has, in all material respects, complied with all the agreements and satisfied all the conditions on its part required under the Mortgage Loan Purchase Agreement to be performed or satisfied at or prior to the date hereof, and (iii) since the date of the Mortgage Loan Purchase Agreement, there will not have been, immediately prior to the transfer of the Mortgage Loans pursuant to the Mortgage Loan Purchase Agreement, any material adverse change in the financial condition of WFB. 9668 MILIKEN CENTERCapitalized terms used but not defined herein shall have the respective meanings assigned to them in the Mortgage Loan Purchase Agreement. Certified this 20th day of March, 2003. XXXXX FARGO BANK, NATIONAL ASSOCIATION By: ---------------------------------- Name: Title: EXHIBIT D-3A FORM OF OPINION PURSUANT TO SECTION 7(VI) EXHIBIT D-3B FORM OF OPINION PURSUANT TO SECTION 7(VII) EXHIBIT D-3C FORM OF OPINION PURSUANT TO SECTION 7(VIII)

Terrorism Insurance. With respect to each Mortgage Loan that has a Stated Principal Balance as of the Cut-off Date that is greater than or equal to $20,000,000, the related all risk insurance policy and business interruption policy do not specifically exclude acts of terrorism from coverage. With respect to each other Mortgage Loan, the related all risk insurance policy and business interruption policy did not as of the date of origination of the Mortgage Loan, and, to the Mortgage Loan Seller's knowledge, does not as of the date hereof, specifically exclude acts of terrorism from coverage. With respect to each of the Mortgage Loans, the related Mortgage Loan Documents do not expressly waive or prohibit the mortgagee from requiring coverage for acts of terrorism or damages related thereto, except to the extent that any right to require such coverage may be limited by commercially reasonable availability, or as otherwise indicated on Schedule C to this Agreement. SCHEDULE C EXCEPTIONS TO MORTGAGE LOAN REPRESENTATIONS AND WARRANTIES Sch. C-1 NATIONWIDE LOANS IN PWR13 EXCEPTIONS TO REPS & WARRANTIES CROSSWOODS AT CENTRAL PARK Rep#12EXHIBIT D-1 FORM OF CERTIFICATE OF THE SECRETARY OR AN ASSISTANT SECRETARY OF THE MORTGAGE LOAN SELLER Executed Certificate attached at Tab 47. Environmental Conditions The Phase I Environmental Report is EXHIBIT D-2 XXXX XX XXXXXXXXXXX XX XXX XXXXXXXX XXXX XXXXER CERTIFICATE OF MORTGAGE LOAN SELLER In connection with the execution and delivery by Principal Commercial Funding, LLC ("PCF") of, and the consummation of the various transactions contemplated by, that certain Mortgage Loan Purchase and Sale Agreement dated more than 12 months from as of December __, 2006 (the scheduled Closing Date "Mortgage Loan Purchase Agreement") among PCF as seller and Bear Stearns Commercial Mortgage Securities Inc. as purchaser (the "Pxxxxxxxr"), the undersigned hereby certifies that (i) except as previously disclosed to the Purchaser in writing, the representations and warranties of September PCF in or made pursuant to Section 4(a) of the Mortgage Loan Purchase Agreement are true and correct in all material respects at and as of the date hereof with the same effect as if made on the date hereof, (ii) PCF has, in all material respects, complied with all the agreements and satisfied all the conditions on its part required under the Mortgage Loan Purchase Agreement to be performed or satisfied at or prior to the date hereof, and (iii) since the date of the Mortgage Loan Purchase Agreement, there will not have been, immediately prior to the transfer of the Mortgage Loans pursuant to the Mortgage Loan Purchase Agreement, any material adverse change in the financial condition of PCF. Capitalized terms used but not defined herein shall have the respective meanings assigned to them in the Mortgage Loan Purchase Agreement. Certified this __ day of December, 2006. The Phase I Environmental Report is dated August 24PRINCIPAL COMMERCIAL FUNDING, 2005LLC By: ------------------------------------ Name: Title: By: ------------------------------------ Name: Title: EXHIBIT D-3A FORM OF OPINION PURSUANT TO SECTION 7(vi) [Reserved] EXHIBIT D-3B FORM OF OPINION PURSUANT TO SECTION 7(vii) Executed opinion attached at Tab 102. 525 BROAD HOLLOW Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member EXHIBIT D-3C FORM OF OPINION PURSUANT TO SECTION 7(viii) Executed opinion attached at Tab 99 and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. PLAZA AT LAKE PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated July 5, 2005. 800 CORPORATE CENTER Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. 9668 MILIKEN CENTERTab 100.

Terrorism Insurance. With respect to each Mortgage Loan that has a Stated Principal Balance as of the Cut-off Date that is greater than or equal to $20,000,000, the related all risk insurance policy and business interruption policy do not specifically exclude acts of terrorism from coverage. With respect to each other Mortgage Loan, the related all risk insurance policy and business interruption policy did not as of the date of origination of the Mortgage Loan, and, to the Mortgage Loan Seller's knowledge, does not as of the date hereof, specifically exclude acts of terrorism from coverage. With respect to each of the Mortgage Loans, the related Mortgage Loan Documents do not expressly waive or prohibit the mortgagee from requiring coverage for acts of terrorism or damages related thereto, except to the extent that any right to require such coverage may be limited by commercially reasonable availability, or as otherwise indicated on Schedule C to this Agreement. SCHEDULE C EXCEPTIONS TO MORTGAGE LOAN REPRESENTATIONS AND WARRANTIES SchINDIVIDUAL MORTGAGE LOANS (Principal Commercial Funding II, LLC - PWR11) -------------------------------------------------------------------------------- REP. C-1 NATIONWIDE LOANS IN PWR13 EXCEPTIONS TO REPS & WARRANTIES CROSSWOODS AT CENTRAL PARK Rep#12NO. Environmental Conditions 00- XXXXXXXXXXXXX XXXXXXXXXX -------------------------------------------------------------------------------- XXXX XX. - 000000 (153 EAST BROADWAY) EXPLANATION - The Phase I Environmental Report Mortgaged Property contained an above ground storage tank and may have contained an underground storage tank ("UST"). The above ground storage tank may have had minimal leaking from overflowing. The UST, if it exists, may be in a vault under a sidewalk. There is dated more than an escrow holdback of $10,000 for the costs to complete the investigation of the UST within 12 months months. The borrower is seeking information from the scheduled Closing Date of September 2006New York City Fire Department regarding any sealed or removed USTs for this site. It is unknown whether there has been any impact to the subsurface. The Phase I Environmental Report is dated August 24, 2005. 525 BROAD HOLLOW Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. PLAZA AT LAKE PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated July 5, 2005. 800 CORPORATE CENTER Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. 9668 MILIKEN CENTERenvironmental consultant recommended no further action at this time.

Terrorism Insurance. With respect to each Mortgage Loan that has a Stated Principal Balance as of the Cut-off Date that is greater than or equal to $20,000,000, the related all risk insurance policy and business interruption policy do not specifically exclude acts of terrorism from coverage. With respect to each other Mortgage Loan, the related all risk insurance policy and business interruption policy did not as of the date of origination of the Mortgage Loan, and, to the Mortgage Loan Seller's knowledge, does not as of the date hereof, specifically exclude acts of terrorism from coverage. With respect to each of the Mortgage Loans, the related Mortgage Loan Documents do not expressly waive or prohibit the mortgagee from requiring coverage for acts of terrorism or damages related thereto, except to the extent that any right to require such coverage may be limited by commercially reasonable availability, or as otherwise indicated on Schedule C to this Agreement. SCHEDULE C EXCEPTIONS TO MORTGAGE LOAN REPRESENTATIONS AND WARRANTIES Sch. C-1 NATIONWIDE LOANS IN PWR13 EXCEPTIONS TO REPS & WARRANTIES CROSSWOODS AT CENTRAL PARK Rep#12EXHIBIT D-1 FORM OF CERTIFICATE OF THE SECRETARY OR AN ASSISTANT SECRETARY OF THE MORTGAGE LOAN SELLER Executed Certificate attached at Tab ___. Environmental Conditions The Phase I Environmental Report is XXXXXXX X-0 XXRM OF CERTIFICATE OF THE MORTGAGE LOAN SELLER CERTIFICATE OF MORTGAGE LOAN SELLER In connection with the execution and delivery by Principal Commercial Funding, LLC ("PCFII") of, and the consummation of the various transactions contemplated by, that certain Mortgage Loan Purchase and Sale Agreement dated more than 12 months from as of June 8, 2006 (the scheduled Closing Date "Mortgage Loan Purchase Agreement") among PCFII as seller and Bear Stearns Commercial Moxxxxxx Securities Inc. as purchaser (the "Purchaser"), the undersigned hereby certifies that (i) except as previously disclosed to the Purchaser in writing, the representations and warranties of September PCFII in or made pursuant to Section 4(a) of the Mortgage Loan Purchase Agreement are true and correct in all material respects at and as of the date hereof with the same effect as if made on the date hereof, (ii) PCFII has, in all material respects, complied with all the agreements and satisfied all the conditions on its part required under the Mortgage Loan Purchase Agreement to be performed or satisfied at or prior to the date hereof, and (iii) since the date of the Mortgage Loan Purchase Agreement, there will not have been, immediately prior to the transfer of the Mortgage Loans pursuant to the Mortgage Loan Purchase Agreement, any material adverse change in the financial condition of PCFII. Capitalized terms used but not defined herein shall have the respective meanings assigned to them in the Mortgage Loan Purchase Agreement. Certified this 21st day of June, 2006. The Phase I Environmental Report is dated August 24PRINCIPAL COMMERCIAL FUNDING II, 2005LLC By: ------------------------------------ Name: Title: By: ------------------------------------ Name: Title: EXHIBIT D-3A FORM OF OPINION PURSUANT TO SECTION 7(vi) [Reserved] EXHIBIT D-3B FORM OF OPINION PURSUANT TO SECTION 7(vii) Executed opinion attached at Tab ___. 525 BROAD HOLLOW Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member EXHIBIT D-3C FORM OF OPINION PURSUANT TO SECTION 7(viii) Executed opinion attached at Tab ___ and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. PLAZA AT LAKE PARK Rep#12. Environmental Conditions The Phase I Environmental Report is dated more than 12 months from the scheduled Closing Date of September 2006. The Phase I Environmental Report is dated July 5, 2005. 800 CORPORATE CENTER Rep# 16. Borrower Bankruptcy Allen V. Rose, who is xxx xxxxxxxx member and has approximately 93% ownership interest in the Borrowing Entity, filed for bankruptcy in the early 1990's concerning a loan that was secured by 20 hotel properties. The loan was closed in November 1989. The loan amount was $115 million and was secured by 20 hotel properties many of which were in the southwest. Shortly after the closing, the recession of the early 1990's set in and the business conditions made it impossible for the properties to generate sufficient cash flow to cover debt service. At the lender's request, a prepackaged bankruptcy was filed and lender took the properties in foreclosure. 9668 MILIKEN CENTERTab ___.